Insights

NAV lending has become a more active part of private market financing as sponsors and growth-stage companies look for liquidity without immediate equity dilution. The structure works well when asset value is strong but cash flow visibility is uneven. According to Oaktree Capital, NAV financing activity rose roughly 30% year-over-year in North America and 20% in Europe in 2023, with total deal flow more than doubling between 2020 and 2023 to reach $44 billion.¹ The challenge i

Image source: Unsplash As private markets mature, the lines between debt, liquidity, and secondary capital are becoming increasingly blurred. NAV financing sits at this intersection. It helps funds turn illiquid assets into usable cash without requiring immediate asset sales. In a tighter capital environment, fund liquidity is now a strategic concern. Slower distributions and tougher fundraising are forcing managers to use capital more efficiently. NAV financing has evolved i